Costello firm fails Qld push

Peter Costello
’s advisory firm Epstein Costello Gazard tried to establish an office in Queensland last year while the former treasurer was conducting the $2.2 million commission of audit for the Newman government but it closed after nine months, the company has admitted.

Mr Costello, who handed in his 1000-page report last week recommending asset sales, has been referred to the Crime and Misconduct Commission over claims of an alleged conflict of interest over his business interests.

Since leaving politics in 2009, Mr Costello has had a number of private business roles, including as managing director of the lobby group ECG Advisory Solutions. Some of its clients have included SP Ausnet, IT firm ASG Group and Serco Asia Pacific which specialises in delivering public services.

ECG director David Gazard said the company had tried to establish an office in April last year – a month after the LNP won office. It was headed by Nigel Everingham but it closed in December, preferring to focus on its core business in Melbourne and Canberra.

“We just weren’t making money out of it," Mr Gazard told The Australian Financial Review said on Thursday.

“It was an extra overhead and we weren’t seeing the revenue out of it so we decided to scrap it."

ECG said it had no business relationship now with SP AusNet, Primary Health Care or ASG, saying the relationships concluded before the audit was handed to the Newman government last week. It said Serco is represented in Queensland by another firm.